The purchase of the Baspa Stage II and Karcham Wangtoo plants (with a combined capacity of 1,391MW) from Jaiprakash Power Ventures Limited, a subsidiary of the Indian infrastructure conglomerate Jaypee Group, will make TAQA the largest private operator of hydroelectric plants in India.

Frank Perez, TAQA's executive officer and head of global power & water, said: "India's economic growth depends on having ample and reliable energy supply. TAQA is pleased to add these two high quality hydro power assets to our growing India business and to support India's economic growth."

While TAQA holds a 51% stake in the consortium, a Canadian institutional investor holds 39% of the remaining equity, and the rest is held by IDFC Alternatives’ India Infrastructure Fund II.

The equity invested by the consortium in the acquisition of the two hydroelectric plants will amount to approximately $616mn. The consortium will also acquire the assets' non-recourse project debt.

Following the completion of the transaction, TAQA's gross operational power generation capacity in India will total 1,741MW, comprised of three hydroelectric facilities and one lignite power plant.

The acquisition is expected to close in 2014 and is subject to regulatory and third party approvals.